Socio-Economics & History Commentary

Many rehearsals have been going on for the past few months. War drums are getting louder.

Press TV reports
The Israeli army has deployed its Mirkava tanks and personnel-carriers along the Lebanese border, Lebanon’s National News Agency says. The deployment took place on Thursday along the barb-wired fence which separates the Shebaa Farms from other parts of Lebanese territories.

Israeli tanks were also gathering along a 5-km area, stretching from the Tallat Sobaih army post to Mount Hermon while sporadic gunfire was also heard throughout the day, the agency reported.

The Israeli air force also carried out a number of flights over the Shebaa Farms, al-Arqoub villages, Hasbaya, Marjayoun, western Bekaa and Iqlim al-Tuffah.

Shebaa Farms comprises of a group of 14 farms close to the poorly-defined border of Lebanon and Syria. The farms were captured from Syria during the Six-Day Israeli War in 1967.

Lebanon says that Israel must leave the Shebaa Farms area, which it says lies on Lebanese territory while Israel contests this claim. Israel says that Shebaa is part of Syria’s territory and its fate should be discussed in future peace talks with Damascus.

Israeli Army amasses troops, military hardware along Lebanese borderBEIRUT: The Israeli Army stepped up its presence along the border with Lebanon deploying armored tanks and setting up fortifications as it intensified airspace violations in the area, Lebanon’s state-run National News Agency reported Thursday. In “unusual military activity,” the Israeli Army deployed Merkava tanks and soldier carriers, among other armored vehicles, along the barb-wired fence separating Shebaa Farms from liberated Lebanese territories, the NNA said.

Israeli tanks were also amassing along a 5-kilometer area, stretching from Tallat Sobaih army post to Jabal al-Sheikh observatory. Sporadic gunfire was also heard throughout the day, the NNA report said.

Meanwhile, the Israeli Air Force carried out several flights over the regions of the Shebaa Farms, Al-Arqoub villages, Hasbaya, Marjayoun, Western Bekaa and Iqlim al-Tuffah. Israeli helicopters were also spotted over the Shebaa Farms between 6 a.m. and 8:30 a.m.

On the outskirts of the southern village of Abassiya, the Israeli Army set up fortifications and barricades as part of a military workshop around Al-Dohaira post, off the town of Al-Ghajar. Heavy machinery was being used including bulldozers, drills and large cranes. A similar workshop was taking place at Jabal al-Sheikh’s observatory with soldiers setting up military equipment.

Things are moving rapidly in the gold market. Gold bugs used to be fazed by central bank gold sales or announcement of gold sales. These central banks manipulate the price of gold lower by selling gold, to protect the USD fiat currency hegemony. Their ‘threats’ of gold sales could only temporarily dampen the price of gold. With China actively announcing their plan to buy gold, no amount of gold sales will dampen its price. US$ 80B is just a drop in their US$2T of USD denominated assets.

First, it used to be that the threat of central bank gold sales would damage market sentiment. Now the threat of significant sales has been met with the threat of significant purchases.

Though the dragon hoard depicted by our good friend, Ed Stein is not yet a reality, China can back its desire to own gold with plenty of cold hard cash. At nearly $1.4 trillion in dollar-based assets, and almost $2 trillion in total reserves, $80 billion would consume a paltry 6% of China’s dollar reserves. At the same time 2600 tonnes translates to roughly one-third the U.S. gold reserve — a significant ambition by any measure. To give you an inkling of how this new synergy might work, when the International Monetary Fund announced recently it would like to sell about 400 tonnes of gold, China joined India in publicly pressing the IMF to sell its entire 3200 tonne hoard. On that news the gold market, which had been in a slow slide as a result of the IMF’s announcement, turned and took another run at the $1000 mark.

Second, by becoming gold’s most prominent champion, China mounts an aggressive defense of its domestic gold mining industry, and by proxy the rest of the industry as well.

Few people know that over the last few years China has quietly become the world’s leading gold producer. Most of that production never leaves China’s borders, but goes instead to the national reserves as a hedge against its currency holdings. China, by the simple expedient of defending its own interest, accomplishes much for the gold mining industry as a whole. By posing as a gold buyer of last resort, ready, willing and able to scoop up any sizable offer, China may have very well put a floor under the market price, though we are too early in the game at this juncture to predict what that price might be. There is no question, however, that China has put a floor under long term gold market expectations. One would have to go back to the first Central Bank Gold Agreement in 1999, which strictly limited the sale and leasing of central bank gold, to find an equivalent organized effort in defence of the long term price trend. Many feel that the original CBGA launched the current bull market in gold, and time will tell whether or not China’s bold entry onto the gold scene will launch its second leg.
…..Third, by elevating gold to prominence in its national reserves, China lays the groundwork for the yuan’s future use as a prominent reserve currency.

There is little doubt that China would like to make the yuan the currency of choice in the East and a strong measure of gold in its reserves would do much to enhance that possibility. For a comparative history, one would have to go all the way back to the late 1960s and the time of French president Charles DeGaulle. “The Last Great Frenchman” thought it best to hedge the national interest and elevate its future economic prospects by purchasing gold. A substantial amount of metal subsequently left U.S. coffers for European national balance sheets including that of France. DeGaulle was later vindicated when gold rose twenty five times in dollar terms over a short ten year period from $35 an ounce to $875 (1971 to 1980). Some of that same gold would later play a key role in the establishment of the European Union, the European Central Bank and the euro, Europe’s currency. China, by its recent actions, appears to have similar intentions both in terms of gold and the yuan.

In one fell swoop China has done much to alter the standing gold market synergy. When Congressman Mark Kirk announced China’s desire to purchase gold during an interview with Fox News’ Greta van Sustern, he noted “across across the board – in private – substantial, continuing and rising concern.” Chinese leaders, he added, were sharply critical in private of the US Federal Reserve’s policy of “quantitative easing,” the modern equivalent of printing money. Kirk went on to say that rising concerns about the dollar and anticipated inflation had prompted China to: “[fund] a second strategic petroleum reserve and they plan to buy $80 billion worth of gold. . . Both of those investments only make sense if you expect significant dollar inflation.”

In the years to come, China will continue to steadily build its gold reserves through domestic production. It will also attempt to purchase whatever gold it can on the world market through official sector purchases or whatever additional means it finds at its disposal. In the process it will become the fire-breathing dragon in the gold market’s living room – ubiquitous and formidable, a presence that cannot be ignored. At the same time, it will find itself in stiff competition for the available physical gold with an international public which harbors the very same concerns for their own portfolios that Chinese officials expressed to Representative Kirk. Few among gold’s growing legions would disagree with China’s logic, or its now publicly voiced desire to hedge a potentially disastrous collapse of the dollar.

Disclaimer – I am not a financial advisor. This is not an advice to buy, sell or hold any stocks or bonds or any precious metals.

Gold is completing its consolidation and is about to move much higher. Very much higher! Roger Wiegand provides an excellent technical analysis :

Longer term charts tell the tale and block out daily trading noise. This weekly chart with a hugely bullish, inverted head and shoulders forecasts a major gold buying event later this year. This would be consistent with our forecasts of smashed stock markets after Labor Day 2009. We cannot tell for certain how high the Dow and the S&P 500 might recover between now and September 15th. We do know this: Numerous information, technical interpretations, and other data signal a largely broken fall, 2009 stock market and a corresponding rally in precious metals. This is our prediction.

We’ve all been patiently waiting for gold to breakout through strong resistance levels between $1,007 and $1,032. When the price has closed firmly and decisively over $1,032.50, we should expect $1,050, $1,150, $1,250-$1,260 and a potential for $1,375. These have been our previous gold price support and resistance forecasts expected for the December, 2009 futures contract highs.

It is very important to understand that once these higher numbers are achieved it is not the end of this gold rally.Rather, once new loftier highs are posted and reasonably held, we should see a new and higher sequence of buying. Our very old gold high forecast of years ago was $2,960. As of today, we hold on that forecast for a minimum but are in fact expecting prices way beyond this figure.

As markets move forward and post higher highs in certain commodities and especially gold and silver, we can technically determine what’s next. Somewhere along the trading trail in the next few months, precious metals shares will breakaway from the influence and attachment of other stock markets. We are not there yet but we have seen some tiny signals telling us this is coming.

Should gold be inflation adjusted today to its proper price, gold would exceed $2,250 in our view. If we say our minimum is $2,960, these two correlated prices are not all that far apart. What I want to figure out next is; where is gold going after $2,960? This can be determined when other related new market prices and techncials are established in crude oil, credit, silver, and grains.

When gold goes on a rocket-rally, silver being more volatile will amaze on the upside. There should be no surprise that silver has some futures trading limit-up days in the months ahead. Despite worries by some silver analysts (including us) that silver might smother under the weight of dying commercial depression effects, we say silver changes itself from a mostly industrial metal into a newly recognized currency. We have seen some smaller, sympathetic communities using silver “rounds” or commemorative coins for local trading and commerce.

Disclaimer – I am not a financial advisor. This is not an advice to buy, sell or hold any stocks or bonds or any precious metals.

In the above video clips, after an introduction by Alex Jones, women of the Akha tribe who live predominately in Thailand, describe how they miscarried shortly after taking vaccines when they were eight months pregnant. The videos below highlight the efforts of supporters of the Akha tribe to get answers from the University of Oregon and the United Nations, who provided funding for the vaccination and sterilization programs.

Further evidence of the link between vaccinations, birth control, cancer and other diseases can be researched here. In the 21st century, the eugenics movement has changed its stripes once again, manifesting itself through the global carbon tax agenda and the notion that having too many children or enjoying a reasonably high standard of living is destroying the planet through global warming, creating the pretext for further regulation and control over every facet of our lives.

As we have tirelessly documented, the elite’s drive for population control is not based around a benign philanthropic urge to improve living standards, it is firmly routed in eugenics, racial hygiene and fascist thinking.

The London Times reports that the secret billionaire cabal, with its interest in population reduction, has been dubbed ‘The Good Club’ by insiders. This couldn’t be further from the truth. Anyone who takes the time to properly research the origins of the “population control” movement will come to understand that the Rockefeller-Turner-Gates agenda for drastic population reduction, which is now clearly manifesting itself through real environmental crises like chemtrails, genetically modified food, tainted vaccines and other skyrocketing diseases such as cancer, has its origins in the age-old malevolent elitist agenda to cull the human “chattel” as one would do to rodents or any other species deemed a nuisance by the central planning authorities.

Sterilization And Eugenics Returns In Popular CultureWe are now seeing the return of last century’s eugenicist movement through the popular promotion of sterilization as a method of birth control.

A popular women’s magazine in the UK recently featured an article entitled, Young, Single and Sterilized, in which women in their 20’s discussed why they had undergone an operation to prevent them from ever having children. The article is little more than PR for a “women’s charity” called Marie Stopes International, an organization that carries out abortions and sterilizations and was founded by a Nazi eugenicist who advocated compulsory sterilization of non-whites and “those of bad character”.

In the article, sterilization is lauded as an “excellent method of birth control” by Dr. Patricia Lohr of the British Pregnancy Advisory Service. The article includes an advertisement that encourages women to seek “more information about sterilization” by contacting Marie Stopes International. We read that, “Over the past year, a quarter of the women who booked a sterilisation consultation with women’s charity Marie Stopes were aged 30 or under.”

Marie Stopes was a feminist who opened the first birth control clinic in Britain in 1921 as well as being Nazi sympathizer and a eugenicist who advocated that non-whites and the poor be sterilized.

Stopes, a racist and an anti-Semite, campaigned for selective breeding to achieve racial purity, a passion she shared with Adolf Hitler in adoring letters and poems that she sent the leader of the Third Reich.

Stopes also attended the Nazi congress on population science in Berlin in 1935, while calling for the “compulsory sterilization of the diseased, drunkards, or simply those of bad character.” Stopes acted on her appalling theories by concentrating her abortion clinics in poor areas so as to reduce the birth rate of the lower classes.

Stopes left most of her estate to the Eugenics Society, an organization that shared her passion for racial purity and still exists today under the new name The Galton Institute. The society has included members such as Charles Galton Darwin (grandson of the evolutionist), Julian Huxley and Margaret Sanger.

Ominously, The Galton Institute website promotes its support and funding initiative for “the practical delivery of family planning facilities, especially in developing countries.” In other words, the same organization that once advocated sterilizing black people to achieve racial purity in the same vein as the Nazis is now bankrolling abortions of black babies in the third world.

While the issue of abortion is an entirely different argument, most would agree that no matter how extreme it sounds, a woman has the right to sterilize herself if she so chooses, just as a man has the right to a vasectomy.

But when a magazine aimed primarily at young women all but encourages girls as young as 20 to have their fallopian tubes tied in order to prevent the “irritation” of children entering their lives and then advertises an organization founded by a Nazi eugenicist that can perform the operation, something has to be amiss.

Even more shocking than this is the fact that the majority of people in the UK routinely express their support for society’s “undesirables” to be forcibly sterilized by the state, harking back to a time when such a thing was commonplace right up to the 1970’s in some areas of America and Europe.

As we highlighted at the time, respondents to a Daily Mail article about Royal Mail honoring Marie Stopes by using her image on a commemorative stamp were not disgusted at Royal Mail for paying homage to a racist Nazi eugenicist, but were merely keen to express their full agreement that those deemed not to be of pure genetic stock or of the approved character should be forcibly sterilized and prevented from having children.

“A lot of people should be sterilized, IMO. It’s still true today,” wrote one. “Just imagine what a stable, well-ordered society we’d have if compulsory sterilisation had been adopted years ago for the socially undesirable,” states another respondent, calling for a “satellite-carried sterilisation ray” to be installed in space to zap the undesirables.

Shockingly, another compares sterilization and genocide of those deemed inferior to the breeding and culling of farmyard animals, and says that such a move is necessary to fight overpopulation and global warming. Here is the comment in full from “Karen” in Wales;

We breed farm animals to produce the best possible stock and kill them when they have fulfilled their purpose. We inter-breed pedigree animals to produce extremes that leave them open to ill-health and early death. It is only religion that says humans are not animals. The reality is that we are simply intelligent, mammalian primates.

The world population of humans has increased from 2 billion to 6.5 billion in the last 50 years. This planet can support 2 billion humans comfortably. 6.5 billion humans use too many resources and leads to global warming, climate change and a very uncertain future for all of us – humans and all other life sharing this planet with us.

Marie Stopes believed in population control and in breeding the best possible humans. So did Hitler. Neither of the aims are bad in themselves. It is how they are achieved that is the problem. The fact that we still remember Marie Stopes is an achievement in itself.

The nature of these comments is so fundamentally sick and twisted that one is tempted to dismiss them as a joke – but these people are deadly serious. Presumably they would also agree with China’s one child policy, which is routinely enforced by intimidation as young pregnant women are grabbed off the streets by state goons and taken to hospitals where forced abortions are carried out.

Now with popular women’s magazines advising women in their 20’s where they can go to be sterilized and ensure a lifetime of partying and carefree sex, it’s no surprise that experts predict that by 2010 one in four western women will be child free for life.

The yearning to have children is the most beautiful, natural and innate emotion either a man or a woman can possibly experience. That is not to say that it’s always wrong for some people not to have children – extreme circumstances can justify such a decision. But to have yourself sterilized because you find children to be an “irritant” and want to live a life free of responsibility or consequences is an awful message to send to young women, especially in the sex-saturated entertainment culture that we are now forced to endure.

Furthermore, the outright promotion of Marie Stopes International as ‘the place to go’ to get sterilized if you’re under 30 is stomach-churning considering the fact that the origins of this organization can be found in Nazi ideology, racist and backward early 20th century eugenics and a long-standing agenda to cull the population of undesirables, an abhorrent belief still held by elites across the planet today.

Few people seem to realize this. Most cannot accept that there is a Illuminati Satanic ruling elite that wants to bring global population down massively. What is this manufactured A/H1N1 swine flu about? You guessed it! Paul J. Watson provides the evidence:The World’s Elite Are Discussing Population ReductionAs was reported only last month by the London Times, a “secret billionaire club” meeting in early May which took place in New York and was attended by David Rockefeller, Ted Turner, Bill Gates and others was focused around “how their wealth could be used to slow the growth of the world’s population”.

We questioned establishment media spin which portrayed the attendees as kind-hearted and concerned philanthropists by pointing out that Ted Turner has publicly advocated shocking population reduction programs that would cull the human population by a staggering 95%. He has also called for a Communist-style one child policy to be mandated by governments in the west. In China, the one child policy is enforced by means of taxes on each subsequent child, allied to an intimidation program which includes secret police and “family planning” authorities kidnapping pregnant women from their homes and performing forced abortions.

Of course, Turner completely fails to follow his own rules on how everyone else should live their lives, having five children and owning no less than 2 million acres of land.

The notion that these elitists merely want to slow population growth in order to improve health is a complete misnomer. Slowing the growth of the world’s population while also improving its health are two irreconcilable concepts to the elite. Stabilizing world population is a natural byproduct of higher living standards, as has been proven by the stabilization of the white population in the west. Elitists like David Rockefeller have no interest in “slowing the growth of world population” by natural methods, their agenda is firmly rooted in the pseudo-science of eugenics, which is all about “culling” the surplus population via draconian methods.

David Rockefeller’s legacy is not derived from a well-meaning “philanthropic” urge to improve health in third world countries, it is born out of a Malthusian drive to eliminate the poor and those deemed racially inferior, using the justification of social Darwinism.

As is documented in Alex Jones’ seminal film Endgame, Rockefeller’s father, John D. Rockefeller, exported eugenics to Germany from its origins in Britain by bankrolling the Kaiser Wilhelm Institute which later would form a central pillar in the Third Reich’s ideology of the Nazi super race. After the fall of the Nazis, top German eugenicists were protected by the allies as the victorious parties fought over who would enjoy their “expertise” in the post-war world.

As Dr. Len Horowitz writes, “In the 1950s, the Rockefellers reorganized the U.S. eugenics movement in their own family offices, with spinoff population-control and abortion groups. The Eugenics Society changed its name to the Society for the Study of Social Biology, its current name.”

“The Rockefeller Foundation had long financed the eugenics movement in England, apparently repaying Britain for the fact that British capital and an Englishman-partner had started old John D. Rockefeller out in his Oil Trust. In the 1960s, the Eugenics Society of England adopted what they called Crypto-eugenics, stating in their official reports that they would do eugenics through means and instruments not labeled as eugenics.”

“With support from the Rockefellers, the Eugenics Society (England) set up a sub-committee called the International Planned Parenthood Federation, which for 12 years had no other address than the Eugenics Society. This, then, is the private, international apparatus which has set the world up for a global holocaust, under the UN flag.”

In the latter half of the 20th century, eugenics merely changed its face to become known as “population control”. This was crystallized in National Security Study Memorandum 200, a 1974 geopolitical strategy document prepared by Rockefeller’s intimate friend and fellow Bilderberg member Henry Kissinger, which targeted thirteen countries for massive population reduction by means of creating food scarcity, sterilization and war.

The document, declassified in 1989, identified 13 countries that were of special interest to U.S. geopolitical objectives and outlined why population growth, and particularly that of young people who were seen as a revolutionary threat to U.S. corporations, was a potential roadblock to achieving these objectives. The countries named were India, Bangladesh, Pakistan, Nigeria, Mexico, Indonesia, Brazil, the Philippines, Thailand, Egypt, Turkey, Ethiopia and Colombia.

The study outlined how civil disturbances affecting the “smooth flow of needed materials” would be less likely to occur “under conditions of slow or zero population growth.”

“Development of a worldwide political and popular commitment to population stabilization is fundamental to any effective strategy. This requires the support and commitment of key LDC leaders. This will only take place if they clearly see the negative impact of unrestricted population growth and believe it is possible to deal with this question through governmental action,” states the document.

The document called for integrating “family planning” (otherwise known as abortion) with routine health services for the purposes of “curbing the numbers of LDC people,” (lesser-developed countries).

The report shockingly outlines how withholding food could be used as a means of punishment for lesser-developed countries who do not act to reduce their population, essentially using food as a weapon for a political agenda by creating mass starvation in under-developed countries.

“The allocation of scarce PL480 (food) resources should take account of what steps a country is taking in population control as well as food production,” states the document.

Later in the document, the idea of enforcing “mandatory programs” by using food as “an instrument of national power” is presented. The document states that the program will be administered through the United Nations Fund for Population Activities (UNFPA), thereby “avoiding the danger that some LDC leaders will see developed-country pressures for family planning as a form of economic or racial imperialism; this could well create a serious backlash.”

As Jean Guilfoyle writes, “NSSM 200 was a statement composed after the fact. During the late 1960s and early 1970s, the U.S. had worked diligently behind the scenes to advance the population-control agenda at the United Nations, contributing the initial funding of $1 million.

A Department of State telegram, dated July 1969, reported the support of John D. Rockefeller III, among others, for the appointment of Rafael Salas of the Philippines as senior officer to co-ordinate and administer the UN population program. The administrator of the UN Development Program reported confidentially that he preferred someone such as Salas who had the “advantage of color, religion (Catholic) and conviction.”

A comprehensive outline of what is contained in the National Security Memorandum document can be read at http://www.theinterim.com/july98/20nssm.html
Evidence of the actual consequences of this program can be found with the link between vaccines and sterilization, as well as other diseases such as cancer, in both the west and the third world.

The attacks are getting louder. I wonder whether the BRIC and SCO countries are executing their plan to bust the USD? Bloomberg reports :

China’s central bank renewed its call for a new global currency and said the International Monetary Fund should manage more of members’ foreign-exchange reserves, triggering a decline in the U.S. dollar.

“To avoid the inherent deficiencies of using sovereign currencies for reserves, there’s a need to create an international reserve currency that’s delinked from sovereign nations,” the People’s Bank of China said in its 2008 review released today. The IMF should expand the functions of its unit of account, Special Drawing Rights, the report said.

The restatement of Governor Zhou Xiaochuan’s proposal in March added to speculation that China will diversify its currency reserves, the world’s largest at more than $1.95 trillion. Chinese investors, the biggest foreign owners of U.S. Treasuries, reduced holdings by $4.4 billion in April to $763.5 billion after Premier Wen Jiabao expressed concern about the value of dollar assets. That reduction came a month after China boosted its holdings by $23.7 billion to a record.

“Zhou Xiaochuan sees the current international financial system is flawed, putting too much emphasis on the dollar as a reserve currency,” said Kevin Lai, an economist with Daiwa Institute of Research in Hong Kong.

President Barack Obama needs the support of China as the U.S. tries to spend its way out of recession. The Dollar Index that measures the currency’s performance against six trading partners fell as much as 0.8 percent to 79.779 at 1:11 p.m. in London. U.S. Treasuries were little changed with the 10-year yield at 3.53 percent.
…..
At the end of 2008 the dollar accounted for 64 percent of global central bank reserves, down from 73 percent in 2001, according to the IMF in Washington.
…..Diversifying HoldingsChina has started to pare its holdings, trimming them by $4.4 billion to $763.5 billion in April, the first monthly reduction since February 2008, according to U.S. Treasury Department data. Figures for May have yet to be released.

“There may be signs here of tensions mounting between the PBOC’s economic concerns over China’s holdings of dollars and the Chinese government’s diplomatic reasons for doing so,” Stephen Gallo, head of market analysis at Schneider Foreign Exchange in London, wrote in an e-mail.

Russian President Dmitry Medvedev, Chinese President Hu Jintao, Indian Prime Minister Manmohan Singh and Brazilian President Luiz Inacio Lula da Silva called for a “more diversified” monetary system to reduce dependency on the greenback at a June 16 meeting in the Russian city of Yekaterinburg. In May, China and Brazil began studying a proposal to move away from the dollar and use yuan and reais to settle trade instead.

Group of 20
Group of 20 leaders on April 2 gave approval for the IMF to raise $250 billion by issuing Special Drawing Rights, or SDRs, the artificial currency that the agency uses to settle accounts among its member nations. It also agreed to put another $500 billion into the IMF’s war chest. This month, Russia and Brazil announced plans to buy $20 billion IMF bonds, while China said it is considering purchasing $50 billion.

“Special drawing rights of the IMF should be given full play, and the international body should manage part of its members’ reserves,” the central bank report said.

IMF First Deputy Managing Director John Lipskysaid on June 6 it’s possible to take the “revolutionary” step of making SDRs a reserve currency over time.

SDRs were created by the IMF in 1969 to support the Bretton Woods exchange-rate system that collapsed in 1971. They act as a unit of account rather than a currency. The cash is disbursed in proportion to the money each member nation pays into the fund.

Widening the BasketThe value of SDRs are based on a basketof currencies, shielding them from swings in a single currency. One SDR is valued at $1.54. China is proposing the basket be broadened. The current weighting is: 44 percent for the dollar, 34 percent for the euro and 11 percent each for the yen and the pound. It doesn’t include the yuan.

The dollar’s dominance of global finance buffeted developing nations last year. Investors abandoned emerging markets after the September bankruptcy of Lehman Brothers Holdings Inc. eliminated demand for all but the safest, most easily traded assets, such as Treasuries and the dollar. A shortage of the U.S. currency forced central banks to pump reserves into their economies.

“The excessive reliance on the credit of several sovereign currencies have added to the extent of risks and crises,” the central bank report said. “A currency with stable value in the long term is required.”